Durigan: Central Bank failed to supervise the Master Bank

The Minister of Finance, Dario Durigan, said this Wednesday (17) that the financial fraud involving Banco Master originated from a failure of supervision by the BC (Central Bank). The financial institution was liquidated by the monetary authority in November last year.

"Look what we saw in the Bolsonaro government, especially in the Roberto Campos Neto administration. The case of Banco Master was born with the failure of supervision by the Central Bank", Durigan told deputies.

According to Durigan, the oversight failure is related to the continuous drop in the number of Central Bank employees, associated with the lack of resources to carry out new competitions and more hiring.

The head of the economic department participated this Wednesday morning (17) in a joint session of the Agriculture, Livestock, Supply and Rural Development and Finance and Taxation Committees of the Chamber of Deputies. The meeting aimed to discuss the guidelines for fiscal and economic policies conducted by the government.

BC PEC
When asked about the proposal that gives greater autonomy to the Central Bank, Durigan defended the strengthening of the monetary authority and other regulatory agencies. However, the head of the economic department indicated that he had concerns about the content of the PEC (Proposed Amendment to the Constitution).

The PEC expands the autonomy of the Central Bank, which implies greater administrative freedom, its own budget for expenses, structure and personnel, with less dependence on the National Treasury. The initiative is defended by the president of the monetary authority, Gabriel Galípolo.

"We cannot, under the pretext of institutionally strengthening the Central Bank, create a series of distortions in public accounting", said Durigan.

Source: CNN